Name and Location
Epanko graphite project, Tanzania.

Client
Kibaran Resources.

Project Description
The Epanko project has total mineral resource of 22.7-million tonnes at 9.8% total graphitic carbon for 2.22-million tonnes of contained graphite.

An upgraded scoping study has indicated that Epanko is an economically robust graphite deposit capable of producing premium-quality large-flake graphite, which has no limitations to its industrial use.

The study was based on the treatment of only 50% of the current total mineral resources estimated for the Epanko deposit.

The study assessed the viability of a simple opencut mine and conventional flotation process plant, with a throughput of 420 000 t/y to produce 40 000 t/y of high-grade graphite-flake concentrate grading between 94% and 97% carbon, with no acid treatment stage required.

The project has a substantial mine life.

Net Present Value/Internal Rate of Return
The project has a net present value of $213-million and a capital payback period of 2.5 years.

Value
The capital cost estimate for processing 420 000 t/y is $56-million.

Duration
Not stated.

Latest Developments
Recent test work from a technical update from the ongoing Epanko feasibility study focused on analysing three key physical characteristics, with the findings to be used as fundamental inputs into the Epanko feasibility study that has started.

The physical characteristics assessed included:
• the melting point of Epanko graphite;
• the relationship between flake size and grade; and
• the flake size distribution within the transition and fresh rock zones as determined by flotation test work.

The test work has resulted in positive key findings and provides additional technical evidence that the Epanko deposit hosts significant, premium quality, large flake distributions with no limitations on its industrial uses.

The letter of intent signed with ThyssenKrupp in October 2014 for an initial 20 000 t/y graphite offtake agreement is testament to this view and further supported by the binding offtake agreement for 10 000 t/y of graphite Kibaran secured late in 2013.

Key Contracts and Suppliers
GR Engineering Services (feasibility and project evaluation study).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Kibaran Resources, tel + 61 8 6380 1003, fax +61 8 6380 1026 or email info@kibaranresources.com.
GR Engineering Services tel +61 8 6272 6000, fax +61 8 6272 6001 or email gres@gres.com.au.